Monroe-based MBT Financial Corp., parent company of Monroe Bank & Trust, has completed its merger with First Merchants Corp. of Muncie, Ind., in an all-stock deal valued at $230 million.

MBTF (NASDAQ: MBTF) and First Merchants (NASDAQ: FRME) finalized the transaction Sept. 1 after receiving regulatory approval in August, according to a news release.The deal was previously announced in October 2018.

First Merchants' president and CEO Michael Rechin said in a release: "The MBTF franchise opens an entirely new contiguous banking market for us with a high-quality and prudently managed 160 year old institution. We believe that our strategy to be a service-driven alternative to our super-regional bank competitors will support the acceleration of Monroe Bank & Trust's current initiatives while furthering our goal of growing as a high-performing company."

Up to 93 layoffs were originally planned at Monroe Bank & Trust as a result of the merger, including positions such as directors, managers and secretaries.

A total of 28 employees were laid off as a result of the merger, while 24 of the 93 employees who were going to be eliminated have been retained or accepted new roles within the company, according to Karen Evens, marketing director at First Merchants.

The company expects the number of additional layoffs to decrease, as employees in affected positions apply for and accept placements within First Merchants, she said in an emailed statement.

Monroe Bank & Trust, billed as one of the largest community banks in Michigan, had $1.3 billion in assets, $769 million in loans, $1.2 billion in deposits as of June, the release said. It has 20 locations in Monroe and Wayne counties.

The combined entity, known as First Merchants Bank, will be fully integrated during the fourth quarter of 2019, the release said.

The deal raises First Merchants' assets to approximately $12 billion, as the bank maintains its position as the second-largest bank based in Indiana, according to the release. The new entity has 1,900 employees and 130 banks in Indiana, Michigan, Ohio and Illinois.

The company recently opened a 4,200-square-foot banking center at 41656 Ann Arbor Rd. in Plymouth on Aug. 19. to replace a smaller one at 706 South Main St., which closed just a few days prior.